TSX-V: CNY

CANCANA >TRACK-MOUNTED DRILL RIG OPERATING AT JABURI PROSPECT
CANCANA > MASSIVE MANGANESE BOULDERS AT RIO MADEIRA PLANT
CANCANA > MASSIVE MANGANESE RECOVERED FROM BMC PROJECT IN BRAZIL
CANCANA > TROMMEL AT RIO MADEIRA PLANT
CANCANA > VEIN EXTRACTION FROM WEATHERED GRANITE WITH BACKHOE, NO BLASTING REQUIRED

Presidents Letter

Welcome to Cancana Resources Corp.

Cancana Resources Corp., is a Canadian-based junior mining exploration and development company with its flagship project being a series of high grade Manganese-bearing claims, consisting of 45,000 contiguous hectares, in Rondonia, Brazil.

In the latest NI 43-101 report from January 2013 on area 241NC, it showed 35,000 tonnes of Manganese, with an average grade of 54% Manganese, which is “super-high grade” by industry standards.

Recently we announced that we have entered into an exclusive Memorandum of Understanding to acquire a company adjacent to our properties in Rondonia. This acquisition is an operating entity with infrastructure, already in production, with a further 75,000 Hectares of Manganese claims. With this acquisition, Cancana will have in excess of 120,000 Hectares of Manganese bearing claims.

Cancana intends to move into production with a trial mining program this year, and our initial targeted production is between 18,000 and 20,000 tonnes. With the advent of the acquisition, the production will increase accordingly.

Manganese is the fourth most used and traded metal in the world. It is non-substitutable in the production of steel, and approximately 90% of Manganese’s demand is from this industry. Global Manganese production in 2012 was estimated to be approximately 16.5 million tonnes and is expected to grow to 20 million tonnes by 2015.

Cancana has been focused on seeking relationships and opportunities that provide an early stage opportunity for cash flow and ongoing exploration.

We have been working diligently over the last year putting all the pieces together on taking Cancana from a junior exploration to a producing mining company.

We appreciate your continued interest and anticipation in Cancana’s growth, and that we both benefit in the rewards provided by these opportunities like those of Cancana.